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Book-Keeping (Double-entry book-keeping)

Double-entry book-keeping consists simply in this great principle - that every debit must have a corresponding credit, and every credit a corresponding debit. This simple rule is the whole theory of Double-entry book-keeping. For instance, you charge a person with $100 worth of merchandise.

Merchandise must have a corresponding credit of $100 for producing this debit or charge; and the entry would read thus: - A. B. to Merchandise, Dr., $100; Merchandise, Cr. by A. B., $100; thus making an equalization in the two entries.

The Cash-Book, For cash entries only. The left hand, or debit side, for receipts; the right hand, or credit side, for payments.

The Journal, To arrange together in more convenient form for posting (or entering into the Ledger) the several entries in the Day-Book, Cash-Book, and such other books as may be kept.

The Ledger Is to contain the final results of the preceding books, arranged under their proper heads. The left hand side, in individual accounts, shows all the party owes-the right hand side, his payments, or other credits due him.

The Editor of this work recommends the following (furnished by a practical printer, Mr. J. H. Morris) to the attention of authors, editors, and all those who write for the press: